How to Choose an Estate Agent, Choosing an Estate Agent in the UK

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How to choose an Estate Agent

Property Information & Advice > How to choose an estate agent

Estate Agents - Selling your Property

When you decide to sell your house, you'd be forgiven to think that you should just approach an estate agent to put your property on the market, however, now many choose to sell direct and save large fees.

Estate Agents typically offer the following:

1. They suggest an asking price for the property you wish to put on sale
2. It is crucial to remember that estate agents do not actually value your property.
3. Property valuations are undertaken by a qualified surveyor, costs a few hundred pounds. Estate agents have no qualification when it comes to house valuations; their estimations are unacceptable to insurance companies as the basis for any buildings insurance you wish to take out.
4. Estate agents relate to their knowledge of similar properties within the area to arrive at an asking price. They purely rely on "gut feeling", with no precision involved. In fact, you are just as likely to guess the price of a house as an estate agent. 5. Make sure that you get more than one property estimation. You will be surprised as to the differences there are in every agent's estimation.
5. Do not ever accept the agent's estimation at face value. Estate agents are businesses and their aim is of course to maximise profits. Should you consider their estimation to be too low, this may be because they would like to get a quick sale in order to get receive their commission more speedily. Estate agents are, after all, salespeople.
6. Do not forget that the valuation just clarifies the asking price. Ultimately, your property is worth what the buyer pays for it.
7. Estate agents photograph your house and produce publicity material that includes a description of your house.
8. They advertise your house in their shop window, via the "For Sale" board, via mail-shots and possibly in the press.
9. Estate agents organise appointments for potential buyers to view your property.

What commission do estate agents charge?

Expect anything from 1.5% to 4% of the house price.

Also add on VAT at 17.5%.

Can I negotiate the commission?

Everything in life is negotiable.

How many Estate Agents?

Choose one (a sole agent) and you'll pay less commission. Choose two or more and commissions could double.

Can I advertise my home with estateagents.co.uk and with an Estate Agent?

Yes. If you are thinking of using an estate agent, check that their contract does not have the term "sole selling rights" (this is different from "sole agent rights"). If it does have this in, ask for it to be removed before signing. If they won't remove it and you still wish to use an agent, find another estate agent that will.

If I sell my home with estateagents.co.uk do I still need to pay the Estate Agent?

No. The Office of Fair Trading state that so long as you have not signed a contract with a clause giving the agent "sole selling rights" you do not have to pay them. As estateagents.co.uk is not an estate agent, even if your estate agent contract specifies "sole agent rights", you still do not have to pay them commission.

Choosing an Estate Agent

Here are some tips for choosing the right Estate Agent:

1. Were they recommended to you by someone? If not, find someone who has used them to get the inside story. Would they use them again?
2. Interview the agent before instructing. Find out if he/she has a sound local knowledge and knowledge of comparable properties in the community.
3. Does the agent have any links with the community?
4. Does he/she look you in straight in the eye?
5. Do you feel comfortable with the person (if you do not, how will the buyer feel?).
6. Do you trust the individual?
7. Will the service really be worth £3,000 plus? Would you prefer to save the commission?
8. Could you do a better job selling your house without an agent - using estateagents.co.uk?
9. Check to see how experienced he/she is. Remember that there are no qualifications needed in order to set up as an Estate Agent, so be very careful.
10. What are your first impressions? Do you get along well right away? Are they really sincere?
11. Will they treat you as a special customer, or will you be be just another name on the list?
12. Are they a member of the national estate agent body - NAEA (the majority are not!).

Do some research before valuation. This will give you a realistic idea of your home's worth, and test their own assumption. It has been know for some agents to price a house for a quick sale, so that they earn their commission quickly, at the expense of the homeowner.

What Estate Agents Scams have been Reported?

Some Estate Agents have been caught and punished by the Office of Fair Trading for conning client. In some cases this has lead to a homeowner losing thousands of pounds. A number of reported scams, including "Back-to-Back Selling" are detailed on the Discussion Forum under "Estate Agent Horror Stories". You have a right to know about these and should make yourself familiar with them. If you have been the subject of any scams, please review them accordingly!

As the estate agent sits between the buyer and the seller, they are ultimately the only party who have all information. This position of power can be potentially abused, possibly at the expense of the buyer, seller or both parties. One common complaint is the inventing of fictitious buyers making offers to force the price up.

Managing the Estate Agent

In a lot of cases, you need to manage the Estate Agent to ensure you get the best service. Here are some tips:

1. It is important to make clear all matters of the sale before it is completed. Never assume anything - don't forget to talk about fixtures and fittings.
2. Save yourself and the agent time and aggravation. Only call her/him when you've made a definite decision to sell.
3. Confirm each stage of the sale in writing with the agent.
4. Arrange for a solicitor or conveyancer as soon as you think you might be ready to place an offer. If the agent recommends one, do not simply except their recommendation. Do some research yourself.
5. Pay all your fees on time. If you do not feel the agent has earned their money, let them know and dispute what you should pay them.

Is it possible to sell my house without using an Estate Agent?

Yes! You can advertise your house to thousands of prospective buyers on estateagents.co.uk.

Many people have successfully sold their house using estateagents.co.uk and saved on average £4,100. To find out more about advertising your property click here.